Companies under section 42 should not be abolished’1 min read

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The government should benefit from the present infrastructure instead of scrapping it. PHOTO:FILE
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LAHORE:  The president of the board of management of Sundar Industrial Estate (SIE), the largest industrial estate in Punjab, has suggested the provincial government that companies constituted under section 42 of the Companies Act should not be abolished.

“Instead, the government can replace heads of these companies with experts of concerned departments,” said SIE President Usman Malik, while briefing the media on Monday.

He said that the Punjab Industrial Estates Development and Management Company (PIEDMC) is a great example of a successful model of public-private partnership, which has become a role model not only in Punjab, but in the entire country and is working on sustainable grounds.

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“This company has assets worth billions of rupees because of having able leadership in the past and experts leading it today.”

Malik said that it is necessary to provide seed money to these companies, which should be bound to achieve their sustainability during the targeted period. These companies should not provide their services free of cost, but charge their clients for their services, as was done by PIE, he added.

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He urged the Punjab government to prepare rules and regulations for the companies to follow discipline and to be monitored on a regular basis in order to prove their utility.

The government should benefit from the present infrastructure instead of scrapping it, he added

(This news/article originally appeared in The Express Tribune on August 28th, 2018)

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